Four Seasons Hotel Case Study

1700 Words7 Pages
Four Seasons’ Strategic Choices
A company’s strategy can be identified by figuring out what business approaches and actions the company undertakes. Thompson et al. (2009) outline the key elements to look for in the process of understanding a company’s strategy. Four Seasons’ differentiation based focused strategy is evident from the organisation’s strategic actions. Sharp’s decision to build on high-end luxury and modern amenities so as to outdo the old grand hotels (p.3, para.3) is an example of efforts to pursue new opportunities or defend against threats as well as actions to outcompete rivals, which provides basis for differentiation. By focusing on medium-sized hotels of exceptional quality with exceptional service levels (p.3,
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It is no longer profitable to build and own hotels. As a result, Four Seasons shifts its focus from hotel ownership to hotel management services so that the financial risk is mainly borne by the hotel owners. Through management operations, Four Seasons is able to make the best use of its expertise and provide exceptional quality and service to the customers, thus gaining a competitive advantage over rivals.

The trend of increasing international travel both in business and leisure markets creates more opportunities for the hotel industry. In order to better serve the travel needs of its existing customers and attract new international travellers, Four Seasons continues to expand its geographic coverage by adding five to seven hotels per year to key destinations, thus capitalising on the emerging opportunities. In response to the changing lifestyle of the global travellers who want personalised service, Four Seasons constantly innovates new ways to make business travel more efficient and leisure travel more enjoyable. By doing so, the differentiation strategy through superior customer service is enhanced.

In support of the rapid development of information technology, Four Seasons enhances its management services via operating a central reservations system, recommending information technology systems and developing certain database applications. It enables Four Seasons to be more
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